How is insurance regulated in Malaysia?

collection.link.72	https://openknowledge.worldbank.org/handle/10986/2180 Nội dung chính Show How are insurance companies being regulated? What regulates the insurance sector? Why insurance companies are regulated by the government? What organization regulates insurance companies?
collection.name.72	Financial Sector Assessment Program
dc.contributor.author	World Bank
dc.date.accessioned	2014-01-27T19:54:39Z
dc.date.available	2014-01-27T19:54:39Z
dc.date.issued	2013-02
dc.date.lastModified	2021-04-23T14:03:30Z
dc.description.abstract	This assessment provides an understanding of the significant regulatory and supervisory framework for the insurance sector of Malaysia. The assessment was conducted by Mark Causevic (external expert from OSFI Canada) during April 2012. Malaysia is undertaking the Financial Sector Assessment Program (FSAP) for the first time, and it includes a formal assessment of its observance with the Insurance Core Principles (ICPs) issued by the International Association of Insurance Supervisors (IAIS). The Malaysia market has been growing for Islamic insurance products (family takaful, general takaful, and re-takaful). The ICPs were not specifically developed with Islamic insurance products in mind. Consequently, based on the scope that was agreed upon prior to the start of the assessment work, details on the regulation, supervision and various workings of Malaysian Islamic insurance market are included in this report, but they do not form part of the ICP assessment ratings for Malaysia.	en
dc.identifier	http://documents.worldbank.org/curated/en/2013/02/18015231/malaysia-insurance-core-principles-detailed-assessment-observance
dc.identifier.uri	http://hdl.handle.net/10986/16615
dc.language	English
dc.language.iso	en_US
dc.publisher	Washington, DC
dc.relation.ispartofseries	Financial Sector Assessment Program;
dc.rights	CC BY 3.0 IGO
dc.rights.holder	World Bank
dc.rights.uri	http://creativecommons.org/licenses/by/3.0/igo/
dc.subject	ACCOUNTABILITY
dc.subject	ACCOUNTANT
dc.subject	ACCOUNTING
dc.subject	ASSET-LIABILITY MATCHING
dc.subject	AUDIT COMMITTEE
dc.subject	AUDITING
dc.subject	AUDITORS
dc.subject	AUTONOMY
dc.subject	BALANCE SHEET
dc.subject	BANK NEGARA MALAYSIA
dc.subject	BANKING SECTOR
dc.subject	BANKRUPTCY
dc.subject	BOND ISSUANCES
dc.subject	BONDS
dc.subject	BROKERS
dc.subject	BUSINESS RISKS
dc.subject	CAPITAL ADEQUACY
dc.subject	CAPITAL MARKETS
dc.subject	CAPITAL RATIO
dc.subject	CAPITAL REQUIREMENT
dc.subject	CASH FLOW
dc.subject	CENTRAL BANK
dc.subject	CODE OF CONDUCT
dc.subject	COMMERCIAL BANKS
dc.subject	COMMON LAW
dc.subject	CONFIDENTIALITY
dc.subject	CONFLICT OF INTEREST
dc.subject	CONFLICTS OF INTERESTS
dc.subject	CONSOLIDATED SUPERVISION
dc.subject	CONSOLIDATION
dc.subject	CONSUMER EDUCATION
dc.subject	CONSUMER PROTECTION
dc.subject	CONTINGENCY PLANS
dc.subject	CORPORATE DEBT
dc.subject	CORPORATE DEBT SECURITIES
dc.subject	CORPORATE GOVERNANCE
dc.subject	CREDIT ENHANCEMENT
dc.subject	CREDIT GUARANTEE
dc.subject	CREDIT RATINGS
dc.subject	CREDIT RISK
dc.subject	CREDIT RISK EXPOSURES
dc.subject	CROSS-BORDER COOPERATION
dc.subject	CUSTOMER BASE
dc.subject	DEBT
dc.subject	DEBT SECURITIES
dc.subject	DEBT SECURITIES MARKET
dc.subject	DEBTS
dc.subject	DEPOSIT
dc.subject	DEPOSIT INSURANCE
dc.subject	DEPOSITS
dc.subject	DERIVATIVES
dc.subject	DEVELOPMENT BANKS
dc.subject	DIRECT INSURANCE
dc.subject	DISCLOSURE REQUIREMENTS
dc.subject	DIVESTMENT
dc.subject	DOMESTIC BANK
dc.subject	DOMESTIC BANKS
dc.subject	DOMESTIC BOND
dc.subject	DUE DILIGENCE
dc.subject	ECONOMIC CONDITIONS
dc.subject	EMPLOYMENT
dc.subject	ENFORCEMENT POWERS
dc.subject	ENVIRONMENTAL FACTORS
dc.subject	EQUITIES
dc.subject	EQUITY MARKET
dc.subject	EXCHANGE CONTROL
dc.subject	EXCHANGE RATE
dc.subject	EXTERNAL AUDITORS
dc.subject	FAILURE RESOLUTION
dc.subject	FINANCIAL ADVISOR
dc.subject	FINANCIAL ADVISORS
dc.subject	FINANCIAL DEVELOPMENTS
dc.subject	FINANCIAL INSTITUTION
dc.subject	FINANCIAL INSTITUTIONS
dc.subject	FINANCIAL INTEGRATION
dc.subject	FINANCIAL MARKETS
dc.subject	FINANCIAL PERFORMANCE
dc.subject	FINANCIAL SECTOR
dc.subject	FINANCIAL SERVICE
dc.subject	FINANCIAL SERVICES
dc.subject	FINANCIAL SERVICES INDUSTRY
dc.subject	FINANCIAL STABILITY
dc.subject	FINANCIAL STATEMENTS
dc.subject	FINANCIAL STRUCTURE
dc.subject	FINANCIAL SYSTEM
dc.subject	FIXED RATE
dc.subject	FOREIGN BANKS
dc.subject	FOREIGN EQUITY
dc.subject	FOREIGN EXCHANGE
dc.subject	FOREIGN EXCHANGE MARKETS
dc.subject	FOREIGN OWNERSHIP
dc.subject	FRAUD
dc.subject	FUND ASSETS
dc.subject	FUND MANAGEMENT
dc.subject	GLOBAL MARKET
dc.subject	GLOBAL MARKETS
dc.subject	GOVERNANCE PRACTICES
dc.subject	GUARANTEE FUND
dc.subject	HOLDING
dc.subject	HOLDING COMPANIES
dc.subject	HOLDING COMPANY
dc.subject	HOLDINGS
dc.subject	INFORMATION SHARING
dc.subject	INFORMATION SYSTEMS
dc.subject	INSURANCE
dc.subject	INSURANCE ACTIVITIES
dc.subject	INSURANCE COMPANIES
dc.subject	INSURANCE CORPORATION
dc.subject	INSURANCE INDUSTRY
dc.subject	INSURANCE MARKET
dc.subject	INSURANCE MARKETS
dc.subject	INSURANCE PENETRATION
dc.subject	INSURANCE POLICIES
dc.subject	INSURANCE POLICY
dc.subject	INSURANCE PRODUCTS
dc.subject	INSURER
dc.subject	INSURERS
dc.subject	INTEREST RATE
dc.subject	INTEREST RATE RISK
dc.subject	INTEREST RATE RISKS
dc.subject	INTERNAL CONTROL
dc.subject	INTERNAL CONTROLS
dc.subject	INTERNATIONAL ACCOUNTING STANDARDS
dc.subject	INTERNATIONAL BANK
dc.subject	INTERNATIONAL STANDARDS
dc.subject	INVESTMENT BANKS
dc.subject	INVESTMENT MANAGEMENT
dc.subject	ISLAMIC BANKING
dc.subject	ISLAMIC FINANCIAL SERVICE
dc.subject	ISLAMIC FINANCIAL SERVICES
dc.subject	ISLAMIC INSURANCE
dc.subject	JUDICIAL SYSTEM
dc.subject	JURISDICTION
dc.subject	JURISDICTIONS
dc.subject	LAWS
dc.subject	LEGAL AUTHORITY
dc.subject	LEGAL FRAMEWORK
dc.subject	LEGAL PROTECTION
dc.subject	LEGAL PROVISIONS
dc.subject	LEGISLATION
dc.subject	LEGISLATIVE FRAMEWORK
dc.subject	LIABILITY
dc.subject	LIBERALIZATION
dc.subject	LIFE INSURANCE
dc.subject	LIQUIDITY
dc.subject	LOCAL LAWS
dc.subject	MARKET CAPITALIZATION
dc.subject	MARKET DEPTH
dc.subject	MARKET PARTICIPANTS
dc.subject	MARKET RISK
dc.subject	MARKET STRUCTURE
dc.subject	MATURITY
dc.subject	MATURITY STRUCTURES
dc.subject	MINIMUM CAPITAL REQUIREMENT
dc.subject	MONETARY FUND
dc.subject	MONETARY POLICY
dc.subject	MONEY LAUNDERING
dc.subject	NEW ENTRANTS
dc.subject	OPERATING LOSSES
dc.subject	OPERATIONAL RISK
dc.subject	OWNERSHIP INTERESTS
dc.subject	PAYMENT SYSTEMS
dc.subject	PENALTIES
dc.subject	PENETRATION RATE
dc.subject	PENSION
dc.subject	PENSION FUND
dc.subject	PENSION FUNDS
dc.subject	PORTFOLIO
dc.subject	PRESENT VALUE
dc.subject	PRIMARY INSURERS
dc.subject	PRIVATE DEBT
dc.subject	PRIVATE PENSIONS
dc.subject	PRIVATE SECTOR DEVELOPMENT
dc.subject	PROFITABILITY
dc.subject	PROPERTY RIGHTS
dc.subject	PROTECTION OF POLICYHOLDERS
dc.subject	REGULATOR
dc.subject	REGULATORY AGENCIES
dc.subject	REGULATORY AUTHORITIES
dc.subject	REGULATORY AUTHORITY
dc.subject	REGULATORY CAPITAL
dc.subject	REGULATORY FRAMEWORK
dc.subject	REGULATORY OBJECTIVES
dc.subject	REGULATORY REGIME
dc.subject	REGULATORY REQUIREMENTS
dc.subject	REGULATORY STANDARDS
dc.subject	REINSURANCE
dc.subject	REINSURANCE ARRANGEMENTS
dc.subject	REINSURANCE CAPACITY
dc.subject	REPUTATION
dc.subject	RESERVES
dc.subject	RISK EXPOSURE
dc.subject	RISK EXPOSURES
dc.subject	RISK MANAGEMENT
dc.subject	RISK PROFILE
dc.subject	RISKY ASSETS
dc.subject	SECURITIES
dc.subject	SECURITIES INDUSTRY
dc.subject	SECURITIES MARKET
dc.subject	SETTLEMENT
dc.subject	SETTLEMENT SYSTEMS
dc.subject	SHARE OWNERSHIP
dc.subject	SHAREHOLDERS
dc.subject	SOLVENCY
dc.subject	SUBSIDIARIES
dc.subject	SUBSIDIARY
dc.subject	SUKUK
dc.subject	SUPERVISORY AUTHORITIES
dc.subject	SUPERVISORY FRAMEWORK
dc.subject	SUSTAINABLE GROWTH
dc.subject	SYSTEMIC RISK
dc.subject	SYSTEMIC RISKS
dc.subject	TAX
dc.subject	TAX INCENTIVES
dc.subject	TERRORISM
dc.subject	TRACK RECORD
dc.subject	TRANCHE
dc.subject	TRANSPARENCY
dc.subject	TURNOVER
dc.subject	VOLATILITY
dc.title	Malaysia - Insurance Core Principles : Detailed Assessment of Observance	en
okr.date.disclosure	2013-07-17
okr.doctype	Economic & Sector Work :: Financial Sector Assessment Program (FSAP)
okr.doctype	Economic & Sector Work
okr.docurl	http://documents.worldbank.org/curated/en/2013/02/18015231/malaysia-insurance-core-principles-detailed-assessment-observance
okr.globalpractice	Finance and Markets
okr.globalpractice	Governance
okr.globalpractice	Trade and Competitiveness
okr.googlescholar.linkpresent	yes
okr.identifier.externaldocumentum	000333037_20130717154112
okr.identifier.internaldocumentum	18015231
okr.identifier.report	79213
okr.language.supported	en
okr.pdfurl	http://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2013/07/17/000333037_20130717154112/Rendered/PDF/792130WP0Malay0Box0377370B00Public0.pdf	en
okr.region.administrative	East Asia and Pacific
okr.region.country	Malaysia
okr.sector	Finance :: General finance sector
okr.theme	International financial standards and systems
okr.theme	Financial and private sector development :: Regulation and competition policy
okr.theme	Other Financial Sector Development
okr.topic	Insurance and Risk Mitigation
okr.topic	Banks and Banking Reform
okr.topic	Private Sector Development :: Emerging Markets
okr.topic	Finance and Financial Sector Development :: Debt Markets
okr.topic	Law and Development :: Insurance Law
okr.unit	Financial Sector Assessment Prog (FFSFP)
okr.volume	1 of 1

How are insurance companies being regulated?

Insurance is regulated by the states. This system of regulation stems from the McCarran-Ferguson Act of 1945, which describes state regulation and taxation of the industry as being in “the public interest” and clearly gives it preeminence over federal law. Each state has its own set of statutes and rules.

What regulates the insurance sector?

Federal Regulation Although most insurance operations are regulated by the states, there are some areas where the federal government has exercised its regulatory authority. For example, federal law imposes penalties for fraud and false statements made in connection with insurance transactions.

Why insurance companies are regulated by the government?

Major reasons for the regulation of insurance include the following: Maintain insurer solvency. Compensate for inadequate consumer knowledge. Ensure reasonable rates.

What organization regulates insurance companies?

The California Department of Insurance (CDI) was created in 1868 as part of a national system of state-based insurance regulation. The insurance market place has changed dramatically over time, but consumer protection continues to be the core of CDI's mission.